Home Depot Acquires Decor Retailer The Company Store
Home Depot is buying The Company Store, a home decor and textiles online retailer. The move is a way for the Atlanta-based home improvement giant to grow its online presence in an era when Amazon.com sells everything from soup to nuts — and bolts. The terms of the deal, which closed on Tuesday, weren't released. The acquisition from Hanover Direct doesn't include the five retail stores.
Total Retail's Take: Home Depot is looking at this acquisition as an opportunity to extend its merchandise selection into soft goods categories (e.g., pillows, window treatments). With that product extension, Home Depot figures to acquire more female customers, The Company Store's primary demographic. Furthermore, this last retail acquisition of 2017 (potentially) continues the trend of traditional brick-and-mortar retailers buying digitally native online brands — e.g., Wal-Mart's acquisitions of Bonobos, Shoebuy, ModCloth — as they seek to evolve their businesses to better serve the needs of today's consumers.